Regardless of what field you operate in, you’ve probably heard about KPIs and how central they’re to your online success. Whether you’re operating a school, hospital, or a web development and marketing agency, there exist numerous ways to employ KPIs and propel your business to even greater heights of success.
Although they tend to vary from one business to another, their basic ingredients are more the same. Essentially, KPIs are the metrics that represent the number of pain points your business or company tracks, all with an aim to solve problems or offer valuable insight to both current and future wellbeing of your business.
At core, KPIs can be broadly classified into two – leading indicators and lagging indicator.
These ones are basically aimed at giving you a clear glimpse of what your future looks likes. They do this by highlighting on some of the key areas that need improvement in the marketing strategies you employ.
These ones offer a detailed report of your business actions after a given period of time, based on a series of accumulative activities including your sales revenue.
A great KPI focuses on offering a healthy mix of the two types of indicators.
Attributes of an Effective KPI
Obtainable and Measurable
Can the KPI metric you’re tracking available in the first place? If NOT, then there’s no way you’ll be able to use it.
For instance, assuming ‘net PPC score’ metric is not provided; then how do you intend to use it as a KPI?
Same goes for unquantifiable events – like your customers’ level of frustration after they abandoned the shopping cart a couple of times. If something can’t be measured then there’s no way they can be used as a KPI.
This drives us to two conclusions:
- When finding a KPI, it’s important to first ensure that it’s available. If it can’t be seen or accessed, then it obviously can’t be used.
- When finding your business KPIs, it’s crucial to ensure there exist a mechanism or tool to both measure and prepare a detailed report on the KPI.
Higher magnitude of Impact
The KPI you settle for must guarantee results. If its impact isn’t big enough to propel your business to an even greater level of success, then it’s pretty obvious the KPI isn’t good enough.
The KPI you settle for must align with your business goals. Besides impacting your business high enough, they must be able to help you achieve something relevant to your line of work or service.
You’re NOT interested in receiving a KPI for the sake of it. You want the KPI to have significant value to your business operations. You want it to provide valuable insights that you can use to take quick actions towards your business.
Your KPI should be available when you need it. That’s important because you want to make timely decisions.
If your KPI takes weeks or months to compute, then it’s certainly going to be pretty hard for you to act on time. In which case, the KPI just isn’t good enough for your consideration.
Choosing Your KPI for Social Media
Social media KPIs are designed to help businesses understand how their social media campaigns are doing and whether there’s a need to make necessary adjustments to their strategy.
There exists countless number of metrics that you can measure on social media. Here’s a list of all the important ones:
- How many people have seen or heard about your brand
- How often do online visitors engage with your business?
- At what rate does the engagement translate into a conversion?
- What’s the overall impact of the KPI to your customer base?
Having said that, let’s shed some light on content marketing KPIs and how they can be measured, plus the meaning they have in relation to your business.
This post focuses on the different types of KPIs organisation:
- Business to Consumer
- Business to Business
- Content Publisher
Bloggers, online entertainment portals and news companies get by the money they earn from advertising. But in order for them to be able to sell more advertisement space, then they have to come up with viable ways to keep their site more attractive to both advertisers and online visitors:
One way to do this is to sign up for paid subscriptions where you’ll be tracking the income trickling in through conversions.
Another important KPI is the one that proves your site is receiving lots of visitors. Commonly referred to eyeballs, these are the number of people your site attracts on daily basis and the more the number, the more attractive your site is to online advertisers.
Two important metric to observe for this KPI is the number of visitors your site is attracting and the number of social shares your content attracts, and which go a long way to increase your online visibility.
Business to Consumer Content KPI
As B2C company attempting to market online, your main goal should be to sell more of your products and services to target customer. Which is to say the most important metric to measure as your KPI are your sales volume and revenue. With these KPIs, you should be able to find out how much money you’re making or likely to make by the end of it all.
Any metric that impacts the amount of profit you’re likely to make should be your main KPI.
While secondary KPIs may impact your profit, they’re NOT directly linked to your profit stream. But that’s NOT to say they’re NOT important, considering any minor improvement in these KPI propels you a step further to making a sale. That’s because when they improve then the improvement gets translated to your main KPI, hence more profits on your side.
The impact generated by secondary KPIs tend to differ depending on the size of your company. For larger organisations, there will be multiple stakeholders, and the main executives may decide to shift all their focus on the main KPIs.
For growing organisations, where emp0loyees are assigned multiple roles, the company may see the need to focus on secondary KPIs. And that’s because their impact can be directly felt on the yielding results of their marketing effort.
Business to Business Content KPIs
Business to business companies operate a lot like partnerships. It’s just that their business cycle tend to take much longer to a point that closing a single sale may even take you several months.
Starts with businesses meeting and demonstrating their products or what it is they’re offering. This will then be followed by them signing a non-disclosure agreement, after which they can choose to embark on negotiating terms.
If you happen to operate B2B Company, then your concern shouldn’t be about the sales or revenue you make, but with the amount of leads you’re able to generate at the end of it all.
There’s no harm in calling the leads you generate a ‘conversion’. But the difference is that you’re NOT necessarily selling a product or service. But considering it requires you to gather contact info from a target client, then in a way, you’ll still be converting them from possible customers to customers with loads of buying intent.
It’s a Wrap
In whatever you do, don’t select the measures based on what’s trending. Instead, try focusing on what’s directly impacting your company’s true success and you’ll be good to go.
For more info regarding KPIs, make an effort to reach out to MediaOne today for a free SEO or KPI consultation.